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in the united states district court for the - Hoosier Racing Tire

in the united states district court for the - Hoosier Racing Tire

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Case 2:07-cv-01294-TFM Document 263 Filed 09/15/2009 Page 30 of 34<br />

Colorado, 479 U.S. 104, 116 (1986) (“The k<strong>in</strong>d of competition that [pla<strong>in</strong>tiff] alleges here,<br />

competition <strong>for</strong> <strong>in</strong>creased market share, is not activity <strong>for</strong>bidden by <strong>the</strong> antitrust laws.”).<br />

Here, STA’s antitrust claims are built on allegations that <strong>the</strong> <strong>Hoosier</strong> exclusive tire<br />

contracts restra<strong>in</strong> trade. STA, however, has not demonstrated that <strong>Hoosier</strong> has imposed any<br />

restra<strong>in</strong>ts on trade. Fur<strong>the</strong>r, STA has not demonstrated that <strong>Hoosier</strong> engaged <strong>in</strong> coercive<br />

measures which resulted <strong>in</strong> ei<strong>the</strong>r STA be<strong>in</strong>g excluded from bidd<strong>in</strong>g on contracts with <strong>the</strong><br />

sanction<strong>in</strong>g bodies or that DMS was coerced <strong>in</strong>to enter<strong>in</strong>g <strong>the</strong> <strong>Hoosier</strong> exclusionary contracts.<br />

The summary judgment record also conta<strong>in</strong>s no <strong>in</strong>dication that <strong>the</strong> sanction<strong>in</strong>g bodies,<br />

<strong>in</strong>clud<strong>in</strong>g DMS, felt any economic coercion to enter <strong>in</strong>to exclusive contracts with <strong>Hoosier</strong>.<br />

Ra<strong>the</strong>r, <strong>the</strong> evidence reflects that <strong>the</strong> <strong>Hoosier</strong> contracts are will<strong>in</strong>gly entered <strong>in</strong>to by two<br />

sophisticated parties. The Court f<strong>in</strong>ds and rules that Pla<strong>in</strong>tiffs have failed to demonstrate that<br />

<strong>Hoosier</strong>’s conduct has resulted <strong>in</strong> <strong>the</strong> presence of unlawful substantial barriers which have<br />

<strong>for</strong>eclosed Pla<strong>in</strong>tiffs from bidd<strong>in</strong>g and w<strong>in</strong>n<strong>in</strong>g <strong>the</strong> highly sought-after exclusive tire contracts.<br />

The evidence from all of <strong>the</strong> sanction<strong>in</strong>g bodies that have given deposition testimony<br />

<strong>in</strong> this case reflects that <strong>for</strong> many years sanction<strong>in</strong>g bodies have adopted s<strong>in</strong>gle tire rules. The<br />

sanction<strong>in</strong>g bodies that utilize s<strong>in</strong>gle tire rules believe that <strong>the</strong>y enhance <strong>the</strong> races by creat<strong>in</strong>g<br />

more excit<strong>in</strong>g races. The sanction<strong>in</strong>g bodies also believe that <strong>the</strong> s<strong>in</strong>gle tire rules ensure equal<br />

access to a uni<strong>for</strong>m product, lead to <strong>in</strong>creased safety, and lower <strong>the</strong> costs of tires to <strong>the</strong> racers<br />

by elim<strong>in</strong>at<strong>in</strong>g <strong>the</strong> “tire wars.” 7<br />

7<br />

While Pla<strong>in</strong>tiffs disagree that <strong>the</strong> s<strong>in</strong>gle tire rules ensure equal access to a uni<strong>for</strong>m<br />

product, lead to <strong>in</strong>creased safety and lower <strong>the</strong> costs of tires, Pla<strong>in</strong>tiffs cannot deny<br />

that various representatives of <strong>the</strong> sanction<strong>in</strong>g bodies testified that s<strong>in</strong>gle tire rules<br />

resulted <strong>in</strong> <strong>the</strong>se results. The Court f<strong>in</strong>ds that <strong>the</strong>re is not sufficient disagreement to<br />

(cont<strong>in</strong>ued...)<br />

30

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